According to the latest survey of construction purchasers, there is an easing in cost inflation and continuing growth across the construction industry thanks to the private sector demand.
A UK construction companies report showed that both activity and employment levels are expanding at a strong pace. There are also signs that strains on raw material availability have started to subside, as highlighted by the slowest deterioration in vendor performance for just over three years.
The survey respondents noted that rising levels of supplier capacity, alongside lower fuel and energy costs, had helped restrain overall input price inflation in August.
The headline seasonally adjusted Markit/CIPS UK Construction Purchasing Managers’ Index (PMI) registered 57.3 in August, up from 57.1 in July and well above the neutral 50.0 threshold. Continue reading